A ruling clarifies who has to pay for temporary disability leave after the maximum time of 730 days has expired if permanent disability is not granted

A ruling clarifies who has to pay for temporary disability leave after the maximum time of 730 days has expired if permanent disability is not granted

He The Supreme Court establishes that the mutual societies that collaborate with Social Security are responsible for assuming the payment of the temporary disability benefit when it exceeds 730 days in duration.while the resolution on whether or not to recognize permanent disability is being processed. This criterion was established after resolving a contradiction between several previous rulings from different courts, which maintained divergent positions regarding whether responsibility fell on the mutual insurance companies or on the National Social Security Institute (INSS). With this decision, the Supreme Court clarifies that the responsibility falls exclusively on the mutual insurance companies, exonerating the INSS from any obligation in this regard.

This situation regarding who is responsible for paying the temporary disability benefit comes after a conflict between Ibermutua and the National Social Security Institute (INSS) in 2020. In that dispute, The mutual society requested reimbursement of various amounts paid to workers in a situation of temporary disability that had exceeded the 730 days established as the legal limit. Among the amounts claimed were 1,233.60 euros paid to a worker for 48 days of disability and 752.78 euros to another employee for 19 days. Ibermutua argued that these payments had been made due to the delay in the resolution of the recognition of permanent disability, which, in its opinion, meant that the INSS should assume said obligation.

In November 2021, the Social Court No. 3 of Valladolid ruled in favor of Ibermutua, ordering Social Security and the General Treasury of Social Security (TGSS) to return the amounts claimed. This ruling was ratified by the Superior Court of Justice of Castilla y León in October 2022, which once again ruled in favor of the mutual insurance company. Even so, the Social security was not satisfied, so, and ultimately, filed an appeal to unify doctrine before the Supreme Courtarguing that Previous decisions did not comply with current regulations or jurisprudence.

The Supreme Court establishes that the mutas are responsible

The Supreme Court ruled this time in favor of Social Security and determined that the responsibility for assuming benefits during the extension of temporary disability falls exclusively on the mutual collaborator, even when the 730 days established as the maximum limit are exceeded. To adopt this decision, the High Court was based on current regulations and the consolidated interpretation of jurisprudence, particularly on Additional Provision 5 of Royal Decree 1300/1995 and on article 80 of the General Social Security Law. (LGSS), which regulates the management of economic benefits derived from common contingencies. Furthermore, the Court recalled that, according to article 80.2 of the LGSS, mutual insurance companies are responsible for assuming these benefits while they manage the temporary disability.

On the other hand, the Court addressed the existence of contradictory doctrine presented in the appeal. In a previous resolution of the TSJ of Castilla-La Mancha, it had been determined that Social Security could be considered subsidiary responsible in the event that the mutual insurance company did not assume the payment of benefits. Now, the Supreme Court rejected this interpretation and stated that, in accordance with the regulations, “The responsibility lies solely with the collaborating entity that manages the contingency”. This position aligns with previous jurisprudence, such as STS 398/2020, which concluded that Mutual insurance companies cannot transfer this responsibility to the INSS.

The ruling also highlighted that this decision seeks guarantee workers continue to receive temporary disability benefits throughout the process of evaluating their permanent disability. At the same time, it reaffirms the role of mutual societies and managing entities within the Social Security system, ensuring greater clarity in their powers.